Reading Room Document

Interpretation of the Grandfather Clause in 18 U.S.C. § 709

The document is a memorandum addressing a difference of opinion within the Criminal Division regarding the interpretation of the Grandfather Clause in 18 U.S.C. §709, specifically in relation to the use of the word "Federal" in the name of an insurance company. The conclusion reached is that the grandfather clause should be narrowly construed to protect only the proprietary interest already in existence in 1926 with regard to the full name of a firm. The document presents a concise summary of the questions for review, focusing on whether the grandfather clause applies to all name changes where both the new and old names contain one or more of the prohibited words. It also delves into the legislative history and intent behind the relevant statute, providing a detailed analysis of the language and context of the law.

April 11, 1977